‘Expedite probe of 2023 NFA rice sale’

MANILA, Philippines — Ombudsman Samuel Martires should expedite the investigation into the alleged anomalous sale of National Food Authority (NFA) rice to private traders in 2023, according to farmers’ group Samahang Industriya ng Agrikultura (Sinag).

Martires should also identify officials being probed by the anti-graft court, Sinag president Rosendo So said yesterday.

“We are asking the ombudsman to inform us about the progress of the case against the former NFA administrator and other officials,” he said.

About 75,000 bags of NFA rice worth P93.75 million were allegedly sold by NFA officials to G4 Rice Mill San Miguel Corp. and NBK San Pedro Rice Mill without the approval of the NFA Council.

“If no one is prosecuted before the Sandiganbayan, then those involved in such anomalies will not be deterred,” So said.

The ombudsman imposed in March last year a six-month preventive suspension on then-NFA administrator Roderico Bioco, assistant administrator for operations John Robert Hermano and 137 other officials and employees facing administrative charges.

The suspension of 72 NFA officials was lifted by the ombudsman.

At a recent House hearing, it was revealed that the buffer stock was sold for only P25 per kilo, while the prevailing market price at the time was P70 per kilo.

So urged the ombudsman to inform the public about other cases filed against NFA officials from previous administrations who engaged in similar irregularities.

“There was another case involving a different administrator who purchased palay and subsequently authorized rice imports. We want to know what has happened with these other cases,” So said.

P15/kilo farmgate

Meanwhile, the farmgate price of palay has dropped to P15 per kilo amid efforts to reduce retail rice prices, Sinag executive director Jayson Cainglet said.

Palay’s farmgate price, he noted, should be at least P23 per kilo so that farmers earn and recover production costs.

“While the Department of Agriculture (DA) is trying to pull down the retail price of rice, traders are taking advantage,” he said yesterday.

Farmers find it difficult to heed the NFA’s advice to dry their palay, which would enable them to sell their produce to the NFA at higher prices, Cainglet said.

The DA should only implement a maximum suggested retail price of up to P45 per kilo of rice to prevent the declining farmgate price of palay, he maintained.

The NFA should have a budget of over P30 billion for its procurement to influence the farmgate price of palay, Cainglet said.

“At present, the NFA has P14 billion for its procurement, which is only good for 15 days. That is only three percent of the total annual consumption,” he said.

Cainglet expressed support for the position of Agriculture Secretary Francisco Tiu Laurel Jr. that there is no rice cartel in the country.

NFA modernization

The NFA is investing P10 billion to modernize its rice warehouses and post-harvest facilities to enhance efficiency and fulfill its buffer stocking mandate.

Of the amount, P1.5 billion will be allocated to repair warehouses and P3.5 billion will be spent to expand storage capacity by 800,000 metric tons next year, the NFA said.

At present, the NFA’s storage capacity stands at one million MT.

The remaining P5 billion will fund the construction and improvement of rice mills, dryers and silos.

Several plots of land have been donated to the NFA or made available for use through usufruct agreements for the construction of new warehouses in Mindanao and Luzon, NFA administrator Larry Lacson disclosed.

The modernization projects are expected to be operational by the end of next year, in time for the dry season harvest of 2027, the NFA said. — Jasper Emmanuel Arcalas